Authors: Neeti Khetarpal Sanan
Addresses: Faculty, Finance and Accounting, Indian Institute of Management Udaipur, Rajasthan, India
Abstract: This study examined the relationship between corporate social responsibility (CSR) and board characteristics among large Indian firms. The examined board characteristics included the proportion of independent directors and female directors on the board. The final study sample included 171 firms that operate across multiple representative industries, and period of the study was from 2014 to 2016. Panel data analysis used the proportion of independent directors and female directors on the board as independent variables and CSR spending as the dependent variable. Board size, firm age, firm size, industry type, and profitability were the control factors. Available empirical evidence using the ordinary least squares and random effects estimation models showed that while female directors influenced a firm's CSR, independent directors did not have an impact. The results remained robust using alternate measures of a firm's CSR and different estimation methods.
Keywords: corporate social responsibility; CSR; Indian firms; female directors; independent directors.
International Journal of Corporate Governance, 2018 Vol.9 No.3, pp.300 - 315
Received: 16 Jan 2018
Accepted: 12 Jul 2018
Published online: 23 Aug 2018 *